|Health content sites in trouble|
The company also announced in August that it had received more than $20 million in equity financing.
Tuesday's restructuring moves, along with the previous operational consolidations, are expected to cut the company's total cash expenses to less than $1 million per month, down from $8 million per month in March 2000, the company said in a news release.
The company said it plans to begin exploring new business opportunities not limited to the Internet, including partnering with brick-and-mortar businesses. It will turn its Santa Monica, Calif., offices into its corporate headquarters.
In the past year, Drkoop has seen its stock plunge to 40 cents per share from a 52-week high of $17.12. The stock ended the regular session Tuesday up 9 cents, or more than 23 percent, to 50 cents.
The company is expected to have a special meeting of investors Jan. 25 to vote on whether the company should implement a 10-to-1 reverse stock split. A split could help boost the company's low share price and help it avoid removal from the Nasdaq Stock Market. According to a proxy statement filed with the Securities and Exchange Commission, Drkoop intends to plead its case to stay on the Nasdaq at a hearing before that stock market.